Tesla Gets Big Shock, Its Annual EV Sales Drop For First Time In Over A Decade

American electric vehicle (EV) maker Tesla’s annual sales have declined for the first time in more than a decade. Despite record deliveries in the fourth quarter, Tesla’s sales have declined. Billionaire Elon Musk’s company sold approximately 17.9 lakh vehicles last year.

Challenges are increasing for EV companies. Their sales are being affected due to reduced demand. The upcoming government led by Donald Trump in America may reduce the subsidy on EV. This can have a big impact on the demand in this segment. However, Musk has also been given important responsibility in the Trump government. Musk also contributed to Trump’s election campaign. Tesla’s stock has benefited from this. The company’s shares have increased rapidly in the last few weeks. Tesla may start its business in India soon. Recently in a media report it was said that the company has again started the search for showroom space in Delhi. EV sales have increased rapidly in the last few years in the country.

Tesla has delivered approximately 4,95,570 vehicles in the fourth quarter. Analysts had predicted this figure to be more than 5,12,200 units. Last year the company had reduced its workforce by about 10 percent. Tesla’s rival BYD has made a sales record last year. This Chinese company has sold about 42.5 lakh units. Tesla is facing tough competition from BYD in the international market of EV. BYD has set a monthly sales record in December. Subsidy and giving incentives to customers are the major reasons behind this.

BYD has sold 5,09,440 units in December. This includes 2,07,734 EVs. Last year, the company’s total EV sales were around 17.6 lakh units. The company’s annual sales have increased by about 41 percent on year-on-year basis. BYD lagged behind Tesla in quarterly sales last year. However, due to the rapid increase in its sales in the fourth quarter, its gap with Tesla has reduced. BYD’s portfolio includes models like Atto 3, e6 and Seal.